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Federal regulators give OK to Entergy Corp.'s plan to spin off transmission business

transmission_lines.jpg

Dozens of electrical powerlines crisscross over a walker heading down the Mississippi River levee in Algiers. These power lines connect to a nearby tower that has numerous lines crossing over the river and to Chalmette.
(Chris Granger, NOLA.com | The Times-Picayune)

The Federal Energy Regulatory Commission approved both proposals Thursday, saying the move was "consistent with the public interest."

Entergy has nearly 16,000 miles of high-voltage transmission lines, covering a 114,000-square-mile area in six regulatory jurisdictions, from swampy delta regions to the mountainous Ozarks. ITC boasts about being the nation's largest independent electricity transmission company.

Michael Burns, an Entergy spokesman, said the approval was "an important step to achieving the transaction's benefits for the grid, our customers and our communities."

"We remain focused on addressing the issues of other regulatory agencies that still must review and approve the transaction before it may proceed," Burns said.

Entergy shareholders will own a majority of the combined company's common stock. The plan is still pending approval by state regulators in the utility's operating region.